February 17, 2021
Foreign property investors are buying up suburban warehouses to capitalize on the growth in e-commerce. Exchange traded fund investors can also capitalize on digital retail trend through a targeted approach.
Reflecting the changing attitudes of the U.S. real estate market in the post-coronavirus pandemic world, overseas investors are purchasing more suburban warehouses instead of targeting skyscrapers or coastal resorts, the Wall Street Journal reports.
Foreign buyers “see that type of investment as effectively a corporate bond given by one of the largest companies in the world,” Matthew Alshouse, a partner at law firm DLA Piper, told the WSJ.
Allianz Real Estate Snaps Up 50pc Stake in OUE Bayfront
Allianz Real Estate has deepened its commercial real estate interests in Singapore after purchasing a 50 per cent stake in OUE Bayfront, a deal worth US$476.6 million (A$615m).
Located in the Marina Bay precinct the partial sale of the 18-storey prime office space building in Singapore’s CBD reinforces investor confidence in office assets in gateway cities according to JLL chief executive of capital markets Stuart Crow.
“This transaction demonstrates that global investor appetite for high quality office buildings remains very strong in core gateway markets, and that there is real confidence in the resilience of the Singapore office market,” Crow said.
Patrizia received the Best Client Service award.
In the category of mid-cap real estate GPs, Los Angeles-based
PCCP LLC was picked Best of the Best. PCCP focuses on senior and mezzanine debts in small- to medium-sized commercial buildings, as well as value-add investments.
INFRASTRUCTURE
Macquarie received the same amount of votes as Brookfield and was jointly awarded Best of the Best infrastructure manager.
Australia’s
Schroders and
Antin Infrastructure Partners was awarded Best Client Service.
Among mid-cap GPs,
Equitix was awarded Best of the Best, followed by
InfraRed Capital Partners who won Best Performance. Through the two UK investment firms, NPS, POBA and Korean insurers, including Hyundai Merchant, invested in the operator of London Orbital Motorway, or M25, as well as Britain’s High Speed 1 (HS1).
Allianz Real Estate enters purchase agreement on behalf of the two investors, with transaction value translating to a passing yield of 3.6%. Deal expected to close by end of February.
OUE Bayfront complex offers 400,000 square feet of net lettable area
19 Jan 2021 |
The Asset
Allianz Real Estate, on behalf of the National Pension Service of Korea (NPS) and Allianz group companies (Allianz), has agreed to acquire a 50% stake in OUE Bayfront in Singapore for S$634 million (US$477 million). The deal with the manager of OUE Commercial REIT is expected to close at the end of February.
The agreed value translates to a passing yield of 3.6%. The seller will guarantee, subject to an aggregate cap of S$6 million, the net property income for the first year and second year following the completion of the deal.